In most cases, the Internet is a safe place. However, there are places
that w

In most cases, the Internet is a safe place. However, there are places
that we need to be safer than others. We do everything from banking and
online purchased on the web to more mundane things like gaming and
Tweeting. All of these activities require a password. However, how we
need to handle these password varies.

This tip is intended to
make your life easier, yet more secure on the web. In Part I, we will
discuss the concept of levels of security. Part II explains how
passwords are stored on service providers. Part III introduces the
concept of passwords and trade offs that you can make in deciding a
password. Part IV is the conclusion.

Part I:
Levels of SecurityThink about how you treat your valuables.
Do you treat all of your valuables the same? No. For example, if you
have a cheap watch, you might leave it your locker at the gym without a
lock. Suppose that you have a nice, expensive watch; you might put it
in the locker with a lock. Suppose you have a gold Rolex; you might
leave it at home. Finally, suppose you have a diamond-encrusted,
solid-platinum Rolex. You might leave that at the bank.

Of course, the
safest thing to do is not to get on the Internet. However, that is
unreasonable. So, instead have a plan for how you are on how you will
use the different resources and how you will protect them.

I
suggest the use of rings or grouping of trust. See Figure 1 for a
possible relationship of resources you might use on the Internet.

Figure
1: Levels of Security

Clearly,
our bank is important to us. If a hacker broke into the bank, we would
lose money. The same is true of our broker where our retirement fund
might be held. These need high security.

Our mail and blog are
also important to us. They represent our face to the world. If our
blog password is stolen, our content may not represent us. If the mail
is stolen, false information could be sent out. Intimate thoughts might
be exposed. However, compared to our retirement accounts and bank
account, these are less important but are used more frequently. So, we
want a password that is easy to type and remember.

We all have
accounts that we may never use again or not for several weeks. These
passwords are important. However, if they are not protecting my credit
card information. I'm not so worried if they get broken into.

Part
II: Password VerificationIf you ever use the same password,
you need to be aware how your password is stored on a server. In most
case password verification is the only mechanism a server uses in
determining if you are who you say you are and if you are permitted to
perform some action.

There are other methods of verification.
For example, you have seen retina (eye) scans to see if you are person
allowed into a particular room. There are finger print analyzers to
determine if you can login to your laptop.

Since passwords are
most commonly used, you need to be aware of the two ways that your
password might be stored:

plain text: the password is stored
exactly like you typed it in

hashed text: the password is
converted into a form that is undecipherable

Plain text
passwords are a bad idea. However, they are the most common. If you
can request that your password be sent to you, it is stored in plain
text. However, what if someone gets a hold of the database of plain
text passwords? If you use that password on another machine, the
robbers now have your password on other machines. Figure 2 shows the
storage of the plain text password ("password") in the data base for
later validation of the password. A user who enters "password" will be
verified. A user who enters a wrong password, like "drowssap", will not
be logged on.

Figure 2: Plain text passwords

A hashed
text password is a password that under goes a mathematical conversion.
The conversion makes it impossible to decrypt the password. So, even if
someone gets into the database, it is impossible to know what your real
password is.

In Figure 3, the password is entered as
"password" but the processor ('the light bulb') use a mathematical
algorithm to convert it to "3vxeXW". This unusual value is all that is
stored in the database.

Figure 3 Using Hashed Passwords

So, how is
your password verified when you login? Well, the password that you
enter goes through the same mathematical conversion as your
real password did. If the mathematical conversion of your typed
password matches the converted (or hashed) password, you are allowed to
logon. If the two converted passwords do not match, you are denied.

In
Figure 3, notice that the stored value in the database is not
"password" but the mathematical converted value. So, the only way to
verify that the password entered by the user is to compare the
mathematical converted value the user enters. So, note that of course
"password" again becomes "3vxeXW". If the user enters a wrong value,
the mathematical function will not return "3vxeXW" but some other value
and the values will not match.

You don't have a choice as
to whether the system will store a hashed version or a plain text
version of your password. However, you can know for sure if they
use plain text passwords if they return your password when you ask for a
reminder, etc. You can be more comfortable if they offer to reset your
password rather than to send it. While a reset password does not
guarantee that your password is hashed, it is a good indicator that a
hashed password is used.

Part III: Passwords
I have suggested three levels for my passwords: ones that must remain
private, ones that should remain private, and ones that are not
critical.

This leads us to think about how to make and maintain
the password. Look at Figure 4,

Figure 4: Password Trade
OffsWhen you think
of passwords, consider these three factors:

How complex
is your password? Do you use upper and lower case? Do include
numbers in your password? Do you include symbols?

How
often do you change your password? monthly, quarterly, yearly?

Do
you use different passwords? Every account is different? Some
accounts are different? Every account is the same?

Many would
argue that every account have a different password. While this is
admirable, I would guess that I have over 200 accounts. For me to
remember that many passwords, I would have to write them down or store
them somewhere. Writing them down is clearly bad. Many people have a
password locker which allows them to store all of them on the computer
(or PDA) with a secure password. This is not a bad solution. However,
it can be very inconvenient.

I argue that it is sufficient to
have a set of passwords based at the level of security required. So,
yes, I might have a different bank and different brokerage password.
However, my blog and email password might be the same. When it comes to
little sites, I might have only a handful of passwords that I use. In
total, I might have as few as ten passwords for my 200 accounts at any
given time.

Part IV: ConclusionIf you read this whole
article, you know why you should make your passwords in a particular
way. However, even if you did not read the article I would like to make
the following summary observation and suggestions.

If you want to be the most secure, every website should have a
different password. However, this can be very confusing. Use a
password locker on your PC or PDA to keep all of the passwords.

If you do share passwords between sites, make sure that you share
them with like levels of consequence of a security breach. Don't use
the same password for your bank account as for your knitting club.
Always decide the cost of a security breach at each site. The higher
the cost of a breach the better the password should be, the more
frequently the password should be changed, and the fewer sites that
should share the password.

Some sites use plain text passwords which means that anyone who
has access to the website internals has your password. If you use the
same password at the knitting site and your bank, those that have access
to the internals of the knitting site can use your password at the
bank. While the people at the knitting club may not try to get into
your bank account, you should not assume that someone who breaks into
the knitting site will not try to break into your account.

It is always good to change your password regularly. However,
this can be confusing. Change the high security passwords more often
than sites which do not require as much security.

About the author:
Jack Briner has a Ph.D. in Computer Science from Duke University. He
has taught courses in networking, network security, PC repair, A+
certification, web design and others. He is the founder of Flowertown Technology, LLC and
its PC repair division, FixYaPC.com.

Hey Rick,
This is NOT the place to discuss your on-line BANKING issues.. EVERYTHING you post on here is seen worldwide.
Please contact your bank directly.. better yet.. go to a brick and mortar branch and they will help you,,